Minimum Wages and Productivity - A Myth?

labour mh_cet_law advanced agree_disagree

Arre yaar, I was reading the other day and so many people are saying koi baat nahin, minimum wages se productivity down ho jati hai. But let me tell you, my papa told me a story that completely debunked this myth. He fought a case a few years ago in Delhi High Court under the Minimum Wages Act. One of the factories was paying their workers peanuts, and my papa showed that despite low wages, their productivity was actually higher than the factories paying higher wages because these workers were more motivated to work extra hours to make ends meet. This is exactly what Justice Singh said in the case of D.L.F. Ltd. v. Ch. Bansi Lal & Ors. (1997), where the court held that the employer cannot force employees to work beyond their capacity, and that minimum wages are essential to ensure that workers are paid fairly for their work.

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